Indonesia Cassava Market Overview:
Indonesia is a significant producer of cassava, with an annual output of ** million tonnes in 2024, making it one of the world’s top five cassava producers. The crop is crucial for food security, animal feed, and industrial starch production. The cassava market was valued at around US$ ** billion in 2023, with major usage in tapioca starch, bioethanol, and snack food industries. Smallholder farmers dominate production, comprising about **% of growers, primarily in Java, Sumatra, and Sulawesi.
Primary Areas/ Elements of Research & Analysis
The report provides comprehensive and valuable insights into the supply and demand dynamics of the Indonesia cassava market. Below are the variables considered and analyzed in the report:
• Supply-demand trends, market growth, and trade
• Market structure, conduct, and performance analysis
• Historical and forecasted market size (volume & value)
• Trade analysis (export & import), including key partners, quantities, values, and price trends
• Supply chain mapping, pricing, and regulatory framework
• Competitive landscape profiling of key players
• Factors influencing market performance, including sustainability trends
Market Growth Factors
The cassava market is expected to grow at a CAGR of **% through 2030, driven by rising demand for starch derivatives in food, paper, and textile industries. Government support through the National Food Security Program encourages diversification into cassava cultivation to supplement rice production. Expansion in bioethanol production as part of Indonesia’s renewable energy targets is increasing cassava’s industrial use by **% annually. Additionally, growing exports of cassava chips and pellets, particularly to China and South Korea, contribute to market growth.
Market Restraints & Challenges
Key challenges include low average yields of ** metric tons per hectare compared to global standards of 25-30 metric tons, attributed to limited use of improved varieties and inconsistent farming practices. Pest infestations like cassava mosaic disease and mealybugs reduce productivity by up to **%. Price volatility due to seasonal oversupply can depress farmer incomes, with farmgate prices fluctuating between US$ ** and US$ ** per ton in recent years. Infrastructure deficits and inadequate post-harvest storage cause high post-harvest losses, estimated at 15%.
Market Segmentation
The market divides into fresh cassava roots (**%), processed cassava products such as chips and pellets (**%), and starch-based derivatives (**%). By application, the food industry consumes about **%, animal feed **%, and industrial uses **%. Geographically, Java accounts for **% of production, followed by Sumatra (**%) and Sulawesi (**%).
Competitive Landscape
The market is fragmented with many small-scale farmers supplying local and regional markets. Major industrial players like PT Singa Agro and PT Mulia Boga Raya dominate starch processing and export activities. Contract farming arrangements are emerging to ensure quality and supply consistency for industrial customers. Innovations focus on improved cassava varieties with higher starch content and disease resistance. Government programs also promote farmer cooperatives to enhance market access and bargaining power.
Outlook
Indonesia’s cassava market is projected to reach over ** million tonnes by 2030, driven by industrial demand for starch and bioethanol. Increased adoption of improved cultivation techniques and pest management will raise yields and reduce losses. Infrastructure investments and enhanced value chain integration will reduce post-harvest waste and improve farmer incomes. Exports of processed cassava products are expected to rise steadily with expanding global demand for gluten-free starch alternatives. The sector is poised for sustained growth aligned with Indonesia’s food security and industrial diversification goals.
Scope of the Report:
• Historical Years: 2015-2022
• Base Year: 2023
• Forecast Period: 2024-2030
• Units: Value (US$ Million) and Volume (Thousand Tonnes)
• Report Coverage: Production, Consumption, Export, and Import
• Segments Covered:
By Type (Starch & Derivatives (Native and Modified Starch), Chips, Pellet, Pearl, and Pulp)
By Application (Food & Beverage, Animal Feed, Fuel Ethanol Feedstock, and Industrial Use)
By Sales (Domestic Consumption and Exports)
• Companies Profiled: The market players include, PT Budi Starch & Sweetener Tbk, PT Tunas Sawaerma, PT Budi Acid Jaya Tbk, PT Sukses Mandiri Utama, PT Permata Dunia Sukses Utama, PT Keong Nusantara Abadi, PT Sari Bumi Agung, PT Starch Industrial Nusantara, PT Royal Tapioca Indonesia, PT Harapan Baru Sejahtera, PT Papuana Mandiri, PT Fajar Starch, PT Sumber Kasih Food Industry, PT Jaya Perkasa Nusantara, PT Berkat Cassava Jaya, and Others.
Please note: It will take 4-5 business days to deliver the report upon receipt the order.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.
Download eBook